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2 сентября 2013

Warehousing property is going through a crisis


Warehousing property is going through a crisis Warehousing property

Low lease rates keep warehousing development down. Warehousing property market in the capital is relatively young, as it started developing only 10 years ago. Yet now it is experiencing hard times. This information has been provided by Yaroslav Gorbushko, employee at CBRE.

Low lease rate is one the major reasons keeping warehousing development down. In addition, deteriorating business environment in the country does not merely prevent leaseholders from acquiring new properties, but also makes them think of reducing the already existing ones. Property quality leaves much to be desired, yet leaseholders willingly make the transactions, as the cost of a low-quality warehouse is significantly lower.

So, only improving the country's economic situation can solve this problem. Real estate sector is a direct reflection of the total amount of goods consumed by the population. According to the latest data, Class A warehouses are in the greatest demand

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